Commission Chaos: How to Automate Tiered Pay Structures for Salons

For many salon owners, "Payroll Day" is a nightmare of spreadsheets, calculator apps, and anxiety. Calculating tiered commissions—where staff earn higher % as they hit revenue targets—is complex and prone to human error. Here's how to hand it off to AI.

The Complexity of Salon Pay

You want to motivate your team, so you offer a tiered structure: 40% up to $1k/week, 45% up to $2k, and 50% beyond that. Plus 10% on retail. Plus tips. Plus hourly rates for apprentices.

Calculating this manually for 5+ staff members takes hours. And if you get it wrong? You risk underpaying your team (damaging trust) or overpaying them (damaging profits).

The Automated Auditor

Seglo's Payroll Auditor tracks every transaction in real-time. It doesn't "guess" at the end of the week; it knows.

• Real-Time Tracking: Staff can check their own commission dashboard daily to see how close they are to the next tier. This gamifies performance and drives sales.
• Complex Logic: Set it once—"45% on Service X, 10% on Product Y"—and never calculate it again.
• Xero Sync: Once you approve the numbers, Seglo pushes the final pay run directly to Xero. Payroll takes minutes, not hours.

Transparency Builds Culture

When staff can see their earnings accumulate in real-time, they are more motivated to add that extra retail item or squeeze in one more booking. Transparency removes the "us vs. them" suspicion around payroll.

Key Takeaways

• Eliminate errors: Automated math is always correct.
• Save owner time: Reclaim your Sunday nights.
• Motivate staff: Real-time earnings dashboards drive performance.